What is Upsell?

Upsell is a business term that refers to the process of influencing a customer to purchase a product that's a premium and more expensive version of the one they were about to purchase. For example, when buying a new car the salesman may try to upsell the customer from the basic model to the one that includes four wheel drive and heated seats. Or when a customer puts a baby stroller in their online cart, the website might present them with a higher end model that's a bit wider and has cup holders.

Trying to upsell customers, especially existing ones, only makes sense for businesses. Companies are much more likely to upsell a current customer than a new prospect. But aside from that, upselling has an obvious, positive impact on revenue and it increases customer lifetime value (CLV).

However, businesses that approach upsell from a purely selfish standpoint might find their efforts fall flat. They need to show customers the benefits of owning the premium product and then make them feel good about their decision post-purchase. Additionally, companies need to be careful about not being too pushy during the upsell process, because that might turn customers and prospects away.

Upsell in the contact center

Contact center agents are frequently expected to upsell and many of them are not comfortable doing it. Contact center leadership has the responsibility of making agents comfortable with, and proficient at, the upsell process. They can do this by using techniques such as scripting, role playing and having agents listen to calls in which their colleagues exhibit good upsell technique. Incentives and making upsell results visible can also help motivate agents.